As long as you paid direct to the finance house who owned the agreement then you should be ok... I'd request confirmation in writing from the finance company that agreement number X in relation to vehicle registration Y and in the name of Ms Z was settled in full, for my own peace of mind and evidence that everything was above board.
I assume you did this at the sellers home/work place as part of the transaction and you've already got the car?? ...rather than pay off the finance yourself before actually having your hands on the car/name on V5, since that would be taking a gamble that they're honest people who won't just vanish after the finance is cleared.
Cheers,
Grant
Last edited by RS Grant; Jan 26, 2012 at 11:05 PM.